Freight company
Encyclopedia
Freight companies are companies that specialize in the moving (or "forwarding") of freight, or cargo
, from one place to another. These companies are divided into several variant sections. For example, international freight forwarders ship goods internationally from country to country, and domestic freight forwarders, ship goods within a single country.
There are thousands of freight companies in business worldwide, many of which are members of certain organizations. Such organizations include the IATA (International Air Transport Association
), TIA (Transportation Intermediaries Association) the BIFA (British International Freight Association
), or the FTA (Freight Transport Association
) and various or other regional organisations.
There are various methods of shipping goods; by air, road
, sea
, or rail
. Some companies offer multi-modal
solutions, this means that they offer more than one service, in many cases air and sea and in other cases air, sea, and road. The most common multi-modal way of shipping is referred to as inter-modal meaning truck pickup to rail to truck delivery.
A shipping method is by evaluating three factors: time, cost, and product characteristics. While shipping by sea could take longer than shipping by air, the latter is generally more expensive. Shipping by rail could also be complemented by piggybacking the freight onto a truck so it can be delivered to the receiver.
companies are usually spin-offs from freight forwarders. There are various types of courier companies, such as airfreight courier companies (FedEx, Skynet WorldWide Express,[Purolator, Purolator International], Crossflight) or road couriers (Circle Express).
s that encompass transportation, logistics
, and distribution
. Typically, freight brokers do not "fingerprint", or touch, the freight. They engage in helping shippers find the best price with the best carrier for any given load.
Other logistics companies include 3rd-Party Logistics Providers. They offer a variety of supply chain and distribution-related practices and techniques in order to improve in-house logistics. The main difference between a traditional freight broker and most 3rd-Party Logistics Providers is that freight brokers do not actually touch (fingerprint) the freight, whereas 3rd-Party Logistics providers often do. This can happen, for example, when the 3rd-Party Logistics company handles outsourced manufacturing and/or warehousing. Such companies include the likes of BAX Global
, Murphy Warehouse Company
, Schenker Logistics, United Parcel Service
Logistics Division.
, DHL
, Purolator
, GlobalTranz
, FedEx
and TNT
. Some of these freight companies tend to specialize in certain goods. For example, Activair is the world's largest freight forwarder for the book industry. Many smaller, Internet freight quote and freight shipping companies are gaining traction in the marketplace. These websites, such as Freightcenter.com and AsiaticFreight.com provide customers with the ability to rate shop online. The online brokers also charge a commission or mark-up on the rate the carriers charge the broker.
, 3PL Systems, Aljex Software, and McLeod Software. Some of these freight companies specialize in certain parts of the market. For example, Transcore is the USA's largest load matching system, TMW Systems
and McLeod Software tend to specialize in asset based full truckload systems. 3PL Systems and Aljex Software specializes in freight brokers and LTL Logistics. There are many other smaller companies in the marketplace such as Bloogistics.com.
Cargo
Cargo is goods or produce transported, generally for commercial gain, by ship, aircraft, train, van or truck. In modern times, containers are used in most intermodal long-haul cargo transport.-Marine:...
, from one place to another. These companies are divided into several variant sections. For example, international freight forwarders ship goods internationally from country to country, and domestic freight forwarders, ship goods within a single country.
There are thousands of freight companies in business worldwide, many of which are members of certain organizations. Such organizations include the IATA (International Air Transport Association
International Air Transport Association
The International Air Transport Association is an international industry trade group of airlines headquartered in Montreal, Quebec, Canada, where the International Civil Aviation Organization is also headquartered. The executive offices are at the Geneva Airport in SwitzerlandIATA's mission is to...
), TIA (Transportation Intermediaries Association) the BIFA (British International Freight Association
British International Freight Association
The British International Freight Association is the prime United Kingdom Trade Association representing UK freight forwarders. These are companies that forward goods internationally on behalf of importers and exporters. It is a not for profit organisation owned by its members and managed by a...
), or the FTA (Freight Transport Association
Freight Transport Association
The Freight Transport Association traces its roots back to 1889: its mission is to represent the views and interests of over 13,000 companies: from large multinationals and household names to small and medium businesses...
) and various or other regional organisations.
Road transport
Road transport or road transportation is transport on roads of passengers or goods. A hybrid of road transport and ship transport is the historic horse-drawn boat.-History:...
, sea
Ship transport
Ship transport is watercraft carrying people or goods . Sea transport has been the largest carrier of freight throughout recorded history. Although the importance of sea travel for passengers has decreased due to aviation, it is effective for short trips and pleasure cruises...
, or rail
Rail transport
Rail transport is a means of conveyance of passengers and goods by way of wheeled vehicles running on rail tracks. In contrast to road transport, where vehicles merely run on a prepared surface, rail vehicles are also directionally guided by the tracks they run on...
. Some companies offer multi-modal
Intermodal freight transport
Intermodal freight transport involves the transportation of freight in an intermodal container or vehicle, using multiple modes of transportation , without any handling of the freight itself when changing modes. The method reduces cargo handling, and so improves security, reduces damages and...
solutions, this means that they offer more than one service, in many cases air and sea and in other cases air, sea, and road. The most common multi-modal way of shipping is referred to as inter-modal meaning truck pickup to rail to truck delivery.
A shipping method is by evaluating three factors: time, cost, and product characteristics. While shipping by sea could take longer than shipping by air, the latter is generally more expensive. Shipping by rail could also be complemented by piggybacking the freight onto a truck so it can be delivered to the receiver.
Couriers
CourierCourier
A courier is a person or a company who delivers messages, packages, and mail. Couriers are distinguished from ordinary mail services by features such as speed, security, tracking, signature, specialization and individualization of express services, and swift delivery times, which are optional for...
companies are usually spin-offs from freight forwarders. There are various types of courier companies, such as airfreight courier companies (FedEx, Skynet WorldWide Express,[Purolator, Purolator International], Crossflight) or road couriers (Circle Express).
Logistics brokers
Freight brokers are federally regulated and bonded companies. Most commonly they have a vast network and access to a library of freight carriers and search for the right availability based on customer specifications. FreightCenter inc., Amodei Brokerage Company, and C.H Robinson are three of many examples. These also offer various value-added serviceValue-added service
A value-added service is popular as a telecommunications industry term for non-core services, or in short, all services beyond standard voice calls and fax transmissions. However, it can be used in any service industry, for services available at little or no cost, to promote their primary business...
s that encompass transportation, logistics
Logistics
Logistics is the management of the flow of goods between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and...
, and distribution
Distribution (business)
Product distribution is one of the four elements of the marketing mix. An organization or set of organizations involved in the process of making a product or service available for use or consumption by a consumer or business user.The other three parts of the marketing mix are product, pricing,...
. Typically, freight brokers do not "fingerprint", or touch, the freight. They engage in helping shippers find the best price with the best carrier for any given load.
Other logistics companies include 3rd-Party Logistics Providers. They offer a variety of supply chain and distribution-related practices and techniques in order to improve in-house logistics. The main difference between a traditional freight broker and most 3rd-Party Logistics Providers is that freight brokers do not actually touch (fingerprint) the freight, whereas 3rd-Party Logistics providers often do. This can happen, for example, when the 3rd-Party Logistics company handles outsourced manufacturing and/or warehousing. Such companies include the likes of BAX Global
BAX Global
BAX Global is an international shipping company that is headquartered in Irvine, California, and has other major offices in Australia, Singapore, London, the Netherlands and Toledo, Ohio. The company which was founded in 1971 also operates an airline...
, Murphy Warehouse Company
Murphy Warehouse Company
Murphy Warehouse Company is a family-owned, full-service supply chain logistics company based in Minneapolis, Minnesota. Founded in 1915, Murphy is one of the Upper Midwest's largest asset-based logistics companies and serves more than 250 companies ranging from Fortune 500 to startup companies...
, Schenker Logistics, United Parcel Service
United Parcel Service
United Parcel Service, Inc. , typically referred to by the acronym UPS, is a package delivery company. Headquartered in Sandy Springs, Georgia, United States, UPS delivers more than 15 million packages a day to 6.1 million customers in more than 220 countries and territories around the...
Logistics Division.
Freight companies
Some of the most well-known and worldwide companies are United Parcel ServiceUnited Parcel Service
United Parcel Service, Inc. , typically referred to by the acronym UPS, is a package delivery company. Headquartered in Sandy Springs, Georgia, United States, UPS delivers more than 15 million packages a day to 6.1 million customers in more than 220 countries and territories around the...
, DHL
DHL
DHL Express is a division of the German logistics company Deutsche Post providing international express mail services. DHL is a world market leader in sea and air mail....
, Purolator
Purolator
Purolator may refer to:* Purolator Courier, a Canadian courier company* Purolator Filters, a joint venture of Bosch and Mann-Hummel, which distributes the Purolator brand of automotive filtration products...
, GlobalTranz
GlobalTranz
GlobalTranz is a logistics and supply chain management firm based in Phoenix, Arizona, which provides LTL, FTL, Supply Chain logistics, Warehouse management and Air Freight services for its base of 6,000 small to medium- sized businesses looking to transport products from point A to point B in the...
, FedEx
FedEx
FedEx Corporation , originally known as FDX Corporation, is a logistics services company, based in the United States with headquarters in Memphis, Tennessee...
and TNT
TNT N.V.
TNT N.V., more commonly known as TNT, is an international express and mail delivery services company with headquarters in Hoofddorp, Netherlands. In the Netherlands, TNT operates the national postal service under the name TNT Post. The group also offers postal services in eight other European...
. Some of these freight companies tend to specialize in certain goods. For example, Activair is the world's largest freight forwarder for the book industry. Many smaller, Internet freight quote and freight shipping companies are gaining traction in the marketplace. These websites, such as Freightcenter.com and AsiaticFreight.com provide customers with the ability to rate shop online. The online brokers also charge a commission or mark-up on the rate the carriers charge the broker.
Third Party Logistics Software
Every freight company utilizes software to maximize efficiency and track shipments. Some of the most well known and notable are WRDS Transportation, Transcore, TMW SystemsTMW Systems
TMW Systems is a developer of enterprise management software for the surface transportation services industry, including logistics, freight, trucking and heavy-duty repair and maintenance...
, 3PL Systems, Aljex Software, and McLeod Software. Some of these freight companies specialize in certain parts of the market. For example, Transcore is the USA's largest load matching system, TMW Systems
TMW Systems
TMW Systems is a developer of enterprise management software for the surface transportation services industry, including logistics, freight, trucking and heavy-duty repair and maintenance...
and McLeod Software tend to specialize in asset based full truckload systems. 3PL Systems and Aljex Software specializes in freight brokers and LTL Logistics. There are many other smaller companies in the marketplace such as Bloogistics.com.